South East Asian push: Takasago unveils 100% halal production focus for its new Indonesia factory

By Pearly Neo contact

- Last updated on GMT

Japanese flavours and fragrances giant Takasago International has revealed a completely halal production focus for its latest factory established in Indonesia, in a bid to strengthen its presence in the South East Asian market. ©Takasago
Japanese flavours and fragrances giant Takasago International has revealed a completely halal production focus for its latest factory established in Indonesia, in a bid to strengthen its presence in the South East Asian market. ©Takasago

Related tags: Indonesia, Halal, Flavours

Japanese flavours and fragrances giant Takasago International has revealed a completely halal production focus for its latest factory established in Indonesia, in a bid to strengthen its presence in the South East Asian market.

The new facility is located in West Java, Indonesia, and involved US$25mn of investment to complete. According to Takasago, this was the company’s first local production factory, and its biggest investment in the country so far.

“Indonesia represents a significant opportunity for Takasago to improve its share in the Asia-Pacific region,”​ Takasago International (Singapore) Managing Director Andy Arguelles told FoodNavigator-Asia​.

“[It is] the biggest market in the [region], and Takasago has made a significant investment [here] to enable us to further strengthen our presence in this growing market.”

According to World Population Review​, Indonesia currently has the world’s largest Muslim population of some 229 million, comprising 87% of the country’s total population and 12.7% of the total global Muslim population.

In line with this, Takasago has made this new facility a 100% halal one, a move that will likely help it better assimilate to local demands and requirements.

“Our Indonesia factory is the first factory for Takasago globally that will produce only Halal items for both flavours and fragrances,”​ said Arguelles.

“Furthermore, [this] new factory in Indonesia expands [the company’s] production capacity and capability in this highly competitive region.”

The Indonesian factory will manufacture liquid, powder and spray dried products, and Arguelles added that local food and beverage firms can also expect shorter delivery leadtimes, better local support in creation and application, alongside consistent product quality to be delivered.

“Some of our most-popular product categories cater to the Beverages, Savoury, Bakery, and Confectionery industries, [and these will continue to be supplied in Indonesia],”​ he said.

ASEAN trends in flavours

In addition to halal, Arguelles also highlighted plant-based and self-care as major trends that Takasago has observed in the flavours industry both in its ASEAN and worldwide operations.

“We observe that consumers now are incorporating more plant-based foods into their diet for health and environmental causes,”​ he said.

“There is also a self-care trend where consumers look for foods that can nourish their mind and body.”

Alongside these, products have had to evolve to meet consumer lifestyle changes and increasing demands for convenience and novel experiences.

“[This] can be seen in launches such as: meal replacers, cross-category inspired flavours, simple yet impactful flavours and experiential products where the consumer is exposed to multi-layers of flavours, sensation and texture,”​ he said.

Takasago is headquartered in Tokyo, which covers its Japan, Korea and Taiwan markets, but also has a Singapore headquarters to cover South East Asia, Oceania and South Asia, as well as a China headquarters.

“We are rapidly expanding our presence in South East Asia and China, and have Creative and Manufacturing facilities in Japan, China, India, Singapore [in addition to this] newest one in Indonesia,”​ Arguelles added.

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